▼ CO2 emissions and transportation energy consumption intensity▼ Example of joint shipment86420QQytisnetni noitpmusnoc ygrenEsnoissime 2OCWhat feedback have you received from customers and others regarding your efforts to date?Your efforts, which were originally aimed solely at reducing CO2 emissions from distribution, are now expanding in scope to encompass other issues including the truck driver shortage and changes in the external environment, such as workplace reform. What are you planning to do going forward?0.04110.04110.04130.04030.04030.040710.49.810.60.03990.03950.03820.03839.68.7Measures taken to reduce environmental impact of distribution To reduce CO2 emissions from trucking, we have been striving to enhance loading efficiency. The introduction of a two-tiered loading system and a deck rack system are examples of such efforts, with the former used to transport large quantities of a single type of product and the latter used for mixed loading of different products. It has been confirmed that they are effective in reducing the number of vehicles needed while providing the same level of reliability as traditional methods. We are promoting the use of the systems for a greater part of our trucking routes.Current status of CO2 emissions from distributionLINTEC aims to reduce transportation energy consumption intensity by at least 1% annually, and has achieved an average annual reduction of 1.74% over the past five years. But we are also aware that effects of our existing activities on reducing CO2 emissions are limited and that there is a need to adopt additional ways to accelerate the reduction (see the graph below).Going forward, we will introduce new insights and technologies that lead to the reduction of CO2 emissions from distribution, while continuing the current efforts to reduce transportation energy consumption intensity by at least 1% each year.We believe that our efforts to support Japan’s distribution structural reform and reduce CO2 emissions have also helped alleviate or reverse the truck driver shortage stemming from the workplace reform laws.We have received positive feedback from customers and trucking firms that cooperated with us in switching to two-tiered loading and deck rack systems. The comments included expressions of appreciation of the increased loading efficiency, which in turn leads to less vehicles being required and reduced stress on drivers. There were also comments on the benefit of the two-tiered loading system that improves the efficiency of loading and unloading.We are currently working on the activities listed below in connection with the so-called “2024 problem” (truck driver shortage) and the White Logistics movement*. We will continue to support the distribution structural reform in cooperation with customers and others.1. Revision of freight charges: 2. Adjustment of receiving and shipping window: 3. Joint shipment from the company’s multiple plants: We have revised freight charges in consideration of the workplace reform for truck drivers.We have brought forward the order cutoff time for same-day shipment with the agreement of customers to regulate the working hours of truck drivers.We are promoting the use of a single vehicle to transport multiple shipments from different plants to increase loading efficiency.Energy consumption intensity (planned)Energy consumption intensity (actual)(thousands of tons-CO2)1210CO2 emissions201920202021Land transportation via OkayamaMishima Plant0.0450.0430.0410.0390.0370.03520222023(FY)Transported to the Kanto regionKomatsushima Plant* White Logistics movement: A movement aimed at addressing the serious shortage of truck drivers in order to support industrial activity and boost economic growth as well as maintain stable logistics operations, which are an essential serviceTwo-tiered loading systemDeck rack system21
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